baldwin. we're following the release of president trump's 2017 financial report. it says he repaid his personal attorney michael cohen expenses of at least $100,000. also what the report does not say, if the repayment was that hush money to porn star stormy daniels. what's more, these documents have been sent to deputy attorney general rod rosenstein along with a letter that says you may find the disclosure relevant to any inquiry you may be pursuing. with me is walter schabb, the senior director of ethics for the campaign legal center. walter, when you look at this, does this detail to you any violation on the part of the president? >> well, yeah. this is a very big development and apparently the office of government ethics' current acting director believes so, too. his letter to rod rosenstein is tantamount to a criminal

referral. and that's because it would be a crime to knowingly and willfully omit any required information from a report and on the cover page of the report, the acting director wrote that oge agrees with the assessment and me and a number of other ethics officials out in the world who said this was always a reportable debt and the president omitted it from last year's report. the implicit defense raised by rudy giuliani in a number of forums so far has been he didn't know about the debt but on the form itself president trump acknowledged that cohen had been asking him for reimbursement and he did make the reimbursement. now the only question comes down to whether or not cohen raised the issue before june 14th, 2017 when president trump filed his financial disclosure report. >> we notice that you tweeted about a rather bizarre encounter

over these forms when you worked in the trump administration. tell us what happened. >> yeah. let me note the only reason i can talk about this is because we wound up having to release a letter subject to a freedom of information act request. the letter detailed how president trump's attorney sherry dillon visited oce and sat across the table from me and ask that president trump not have to certify that his financial disclosure report was true. now, there have been millions, literally millions of financial disclosure reports filed and they're as individual as snow thereto flak flakes. they only have one thing in common and that is that every one of them certified as true. and it was a breathtaking, surreal moment and we refused to grant that request and now i'm

glad that we did because he certified his report was, quote, correct and complete. >> what's the purpose of a financial disclosure if you can't say this is to the best of your knowledge factual. >> right. rudy giuliani said that president trump began repaying the debt in the beginning of 2017. even if that was february or march instead of january, that's well before the june 14th, 2017 filing date. so it's just completely implausible that he didn't know about the debt. now, the only other defense they may raise is that perhaps his attorneys didn't think that it was reportable. but i can confirm that no one ever asked the office of government ethics last year if it was required to be reported. so they shouldn't be allowed to just on their own make the decision it didn't have to be reported if they knew about it. and if the attorneys didn't know

about it, which is probably the most likely scenario, then it means that the president concealed it even from his attorneys and that's really troubling that we're in a situation where the president, who is supposed to be the model of government ethics is filing a potentially false and certainly incorrect financial disclosure report. >> his team is saying that he didn't know what the money was specifically spent on. so there's this issue of knowing the debt, knowing what the debt's for. you chuckle at that. >> yeah, because all debts are disclosable. there isn't a regulation that says filers and particularly presidents must disclose hush money payments to porn stars. it says filers have to disclose all liabilities, any sort of debt. it's irrelevant that he didn't know what the debt was for. it's disclosable. there's and opinion that said

even attorneys fees are disclosable. i think it's fair to note that in practice oge has only required them to be reported when they're overdue. but they're describing this as a debt or an expense separate from attorney's fees. so that means that the president can't rely on the idea that these were attorney's fees and they hadn't come overdue yet. it was a debt and whether he knew it was for a hush money payment to an adult film star or something else, he knew he had a debt and it was reportable. also, it's just implausible that his attorney would have settled a case so personal in nature without talking to his client. first of all, it would probably be an attorney ethics violation but even beyond that it defies credulity to say i entered into a settlement for my client without telling my client. in fact, rudy giuliani had gone out and said that's normal for

his firm. when his firm separated -- >> his firm responded, that's right. >> they said that's ridiculous, we would never do anything like that, which i think is a strong statement about how implausible the story that michael cohen was running off and paying off people for the president and keeping it a secret for him. >> walter, thank you so much. fascinating to talk to you as always. now to the biggest document released yet on the most infamous meeting inside of trump tower with all of the figures you see on your screen. the testimony shows how frustrated donald trump jr. and the trump camp became when they didn't get any dirt on hillary clinton as promised. don jr. told senate investigators he did not tell his father about the meeting and they did not directly discuss the response to reporters.

one statement don jr. did describe was the crafting of the purpose of the meeting being about russian option. >> question, to the best of your knowledge did the president provide any et its to the statement or other input? and he responded owe he may have communicated via hope hicks." >> let's first -- obviously this is fascinating to look at these transcripts and we've had people poring over all of these pages, you guys among them, good work. is there anything in here that is going to be of interest to the special counsel? >> i think everything in here is going to be of interest to the special counsel. there is so much ambiguity in the answers to these -- by these witnesses and so many i don't remembers, that mueller, who has

the spepower to subpoena and che people with false answers is not going to be -- i think there's a lot of things that need to be examined by mueller, most notably whether there was a thing of value solicited or whether there was any sort of follow-up to that meeting. something of particular interest to me in the transcript of don jr.'s testimony, he says in response to a question about what is called exhibit 5 that there was a follow-on e-mail from goldstone to don jr. where he's saying v.k., the russian facebook equivalent, is prepared to launch "promote trump 2016." they had a mock -up of the web page that was going to be used to promote trump in 2016.

he said paul manafort was interested in it. there's a lot in that one little dialogue for saying is this the predicate for the russia social media campaign? does this link to wikileaks? >> and paul manafort, he should have known this was a problem that the russians were reaching out. some of the inexperience level in the campaign with don jr. and kushner bu kushner, but he's a veteran. >> i think the thing that has former campaign aides scratching their heads and they see don jr. and jared kushner were novices but paul manafort has been in politics for a long time.

they direct inquiries to their counsel of the campaign and on ward to the fbi. when other campaign aides look at this, they're just aghast that none of these normal protocols were followed, particularly by somebody like paul manafort. >> paul manafort was completely bored by this meeting. and the other people in the meeting, they said he generally seemed bored, uninterested. because once this went from being about dirt to what this really was about, which was adoptions, he completely lost interest. one witness described him as looking at his phone throughout the rest of the meeting, a meeting which lasted 20 to 30 minutes. you would think manafort would know better. i'm not sure he was really paying attention. >> and they describe jared kushner as agitated when the russian lawyer launches into the fact that this is going to be about adoptions -- >> russia suspended adoptions in

response to sanctions. >> kushner is essentially saying what are you talking about? >> tells her to start over. >> she starts to say the same thing over again and another witness in the room says he looks even more agitated. it it's pretty clear this meeting of not going like they thought it would. >> i want to ask you about donald jr. talking about a meeting between kislyak and is it paul manafort? >> in his office when he came back from the gym. >> and flynn. >> he says he has gone to the gym and he gets back from the gym and there's this meeting happening in his office. >> right. right. this is why i answered your first question when you asked will mueller be interested in anything? he's got to be interested in everything. >> we already know that, though. >> i understand that but this just goes to show that there was a serious effort on the part of

the campaign to have contact with the russians. we don't know why, we don't know whether there was a quid pro quo, we don't know whether there was coordination or conspiracy, laws violated, but we know there was outreach. and with respect to this june 9th meeting -- >> on the russians there was certainly outreach. i don't think today's traps scri -- transcript tells us whether folks in the trump campaign were reaching out for help. >> but they were accepting it. >> they were willing to accept it. >> i understand there are issues of i don't know and questions that were not answered about kno phone calls and whatever. if you read the transcript, there's every indication from the translator, who has really nothing to gain by giving testimony in this case, that you can see that people there were confused by what this was about. people were agitated. clearly the russians did everything they can to try and

get to the trump campaign and they were successful. >> the fact that the meeting didn't turn out the way it was thought to be by kushner and them doesn't mean that there wasn't follow-up efforts. we see in july the wikileaks stuff is released, we see the e-mail of following up with v.k. and facebook. they could get intelligence back saying this meeting didn't turn out the way we, the russians hoped, let continue this and get the record sent up better. >> thank you so much to all of you. next president trump says "we'll see" when asked when the summit meeting is still on the calendar. >> and a $500 million set thetlt

for the victims of dr. nassar.

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we're all business, mostly. . president trump says we'll see about the meeting with kim jong un next month. officials tell cnn the administration was really caught off guard here when pyongyang abruptly lashed out over u.s./south korea military drills and suspended what were to be talks just today with south korea. i want to bring in kaitlin collins, our cnn white house reporter. north korea cites what happens to libya and iraq. this is noteworthy. as examples of why they should keep their nuclear capability. is the white house saying anything about this? >> reporter: brianna, it depends

on which white house official you're talking about. sarah sanders said they're not following the libya model, they're following the trump model. that's not what john bolton said a few weeks ago when he said he is picturing libya when thinking of how to handle the north korea situation. listen to what else he had to say about this. >> is it a requirement that kim jong un agree to give away those weapons before you give any kind of concession? >> i think that's right. i think we're looking at the libya model of 2003/2004. >> in their statement threatening to cancel the summit, the north koreans noted that libya met with a miserable fate. after libya agreed to give up their nuclear weapons, the libya leader was overthrown and brutally killed several years later. they are citing that as a concern here. the bottom line is the white house is trying to figure out if there is an empty threat from north korea or what it actually means, though they are insistent

they are still moving ahead with the plans for the summit to happen, but the anticipation has been building for weeks about this summit. the president offering a very measured approach to pull out and scrap this meeting entirely. we are met with one big question mark over whether or not this big summit is actually going to happen after all. >> do we know if there's going to be a white house briefing? sarah sanders when she spoke with reporters on white house grounds earlier today hinted that there might be. we're looking at a live picture in case it does happen. what are you hearing? >> sarah sanders did hit there might be a briefing, but they typically would have done so by this time in the afternoon. it has not been updated. there is no schedule with a briefing listed on there and the president is holding an event on sanctuary cities any moment from now. there likely won't be a white house briefing during an event

when the president is speaking. there is a chance he could say more on north korea after we heard from him earlier in the office with the president from uzbekistan. it's well summed up in those two words, brianna, we'll see. >> we'll see. thank you very much. we are monitoring that event that the kaitlin talked about on sanctuary cities. we're going to bring that to you if there is any news coming out of it. to discuss what we were just talking about, i want to bring in michael o'hanlon and saved singer. he is national security correspondent for the "new york times." what do you make, david, of north korea citing this bolton reference of looking at the libya model for north korea and the fact that that's what bolton

even said. do you think that it's perhaps counterproductive in the face what could be an historic meeting for bolton to have said that? >> first, what the north koreans are doing, putting up a lot of dust around the summit, whether or not it will even happen, entirely predictable. i've covered north korea in negotiations since the clinton 1994 crisis talks and there have been four or five since. this has been a pattern in each and every one. so the only folks it's new to is the trump administration. second, on mr. bolton's comparison to the libya handover, it was a faulty analogy to begin with. it's an understandable one for him to make. he was in the state department as a senior official who helped put together the libya turnover, but remember, libya only had equipment that they had

purchased from a.g. kahn, the pakistani nuclear head and surreptitiously brought, they had no weapons, they had crates full of equipment they didn't know what to do with and they turned it over to the united states and to the international atomic energy agency. there's no comparison new york real comparison to -- >> north korea has a full-on program, right? >> not only a program. they've got 20 to 60 weapons depending on which intelligence agency you believe, they've got facilities everywhere, tons of material to account for. it it's a vastly more complicated case. >> so, michael, what do you think even from the white house, we heard from sarah sanders today. she said we weren't surprised by this essentially and she said if

the talks don't happen, that's okay. that didn't seem like an accurate representation. what we know from behind-the-scenes reporting is they were totally scrambling, totally caught off guard about this news about north korea. >> i agree with everything david just said. i think back to his book "the inheritance" and i think of it because donald trump came into office redprgretting the inheritance he got from both bush and obama. trump came in with the view that he wanted to solve this problem. he didn't want to be another american to make a bad deal with north korea. a big part of trump 's instincts on this are to solve the problem once and for all, complete and immediate denuclearization.

that's extremely unlikely to be something that north korea would agree to. when kim jong un used the expression denuclearization a co couple of weeks ago with mike pompeo, he probably meant decades down the road and he probably didn't mean it any sooner than that. he'si he's walking back any expectatio expectations. we're going to have to get our patience about this and figure out a way to get engaged in a step-by-step gradual denuclearization. >> what do you think are the prospects of a summit?

>> i think there it was kim jong un's idea. and mr. trump to his credit immediate embraced it. that's a different thing going into it, thinkle that he these two -- it's going to be the start of a process, not the end of one. that's what makes this one unusual. the usual way you negotiate these things is more michael's territory than my own. you begin at the staff level and you move your way up and the meeting between leaders is usually what happens to seal the deal. this is happening in reverse to is the, you then have bureaucracies on both sides that are going to be gnawing away at some of the details. >> david singer, michael

o'hanlon. thank you both so much for your perspectives. >> some more breaking news. were the russians trying to help trump and hurt hillary clinton when they meddled in the 2016 elections? the findings of a senate intelligence report has just been released. we'll talk about what it reveals about vladimir putin's motives. pah! that will never work. no, no, no, nah. a bulb of light?!? aha ha ha! a flying machine? impossible! a personal' computer?! ha! smart neighborhoods running on a microgrid. a stadium powered with solar. a hospital that doesn't lose power. amazing. i like it. never gonna happen.

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fbi director christopher wray testified and was just asked about the russia investigation and whether he believes it a witch hunt. >> you said at your confirmation

hearing that the russia investigation was not a witch hunt. you've been here ten months and are far more immersed in the details of the fbi. is that still your opinion? >> yes. >> now wray's comments come as the senate intelligence committee has just finished its report on russian interference in the 2016 election. and that report concluding that vladimir putin ordered the election interference to help donald trump and to hurt hillary clinton. also during this hearing, director wray was asked about the chinese telecommunications company zte, whose jobs trump says he wants to save from u.s. sanctions. >> we, the fbi, remain deeply concerned that any company beholden to foreign governments that don't share our values are not companies that we want to be gaining positions of power inside our telecommunications network. that gives them the capacity to

maliciously modify or steal information. that gives them the capacity to conduct undetected espionage. that gives them the capacity to exert pressure or control. >> and joining me now to talk more about this is pulitzer prize winning presidential historian john meacham. he does have a new book out, "the soul of america, the battle for our better angelingngelsang" >> what do you think when you think about that the investigation into russia is not a witch hunt and also about the chinese experience that the president wants to help? >> one is that the broad checks and balance system is still working. we have law enforcement, we have the courts, we have congress, we have the press, we have the

people themselves who are taking their stand in the arena against, in some cases, some overreaching, some campaigns on the part of the president to delegitimize what is pretty clearly a legitimate investigation on russia and to in this odd example with china. the good news here is that as dispirited as so many people are about what the president's doing, there are people like director wray -- that may have just condemned him, i shouldn't say that, there is a way for the system to endure despite the fact that we have a president who is out of balance. >> and there seems to be this pattern, right, the president says one thing but then his intelligence community, his fbi director, they say something entirely different. >> yeah. and it's been going on now for 18 months. and one of the things that i think the broad populous, what

you and i have to figure out is where do we put our trust? do we trust a president who was an avowedly disruptive political force or do we trust those who have been -- made this a career, made this a way of life of assessing data, trying to assess it with some dispassion and coming to a conclusion. and so far, as difficult as it's been, we've run it pretty close but we're okay. the problem is going to be if the president tries -- >> organizatih, i think unfortu may have lost john's connection. >> i can hear you, yeah. >> you said if the president tries -- >> if the president tries to knock something off, tries once again to clear out particular personnel, then we're going to have a genuine crisis.

and we may get to that i suspect before it all over, there will be a kind of moment where we're going to have to decide whether the rule of law or the will of the president prevails and my money is on the rule of law. >> i want to ask you about george w. bush. there was an op-ed in "the washington post" earlier this week. it said donald trump may be the best thing that ever happened to george w. bush. it says this new-found appreciation may have less to do with history and more to do with beer goggles. what do you think? >> there's a thin line between political history and beer goggles. when harry truman left washington in 1953, he was very unpopular. he began to be rehabilitated,

particularly in the early 1970s, in part because his plain speaking style stood into contrast to president nixon and inevitably watergate. so a president's successors are going to help shape what we think about that president's legacy. my friend michael beschloss likes to point out that it takes about 25 years before journalism gives way to history. and things loom large in realtime. there are a lot of stories that would have consumed a given era that when you look back on it you think, well, that wasn't that important but this was. >> i want to talk about your new book, "the sole of america, the battle for our better angels." you got the idea after the event in charlotteville. tell me about that. >> as you remember on august 12th last year, neonazis were

marching and a young counterprotester kill, two virginia state troopers died as a result of the operation and we had a president of the united states who found it very difficult to come out and say which side there was blame on. i think if you have an issue where the klan and neonazis are on one side and people are on the other, that's a pretty clear call. it's not to say relax it's all going to be fine, it's to say let's learn what happened before, how did we survive the 1920s when the ku klux klan had 5 members perhaps. let's learn those lessons so we can arm ourselves in this particular struggle now against easily the most unconventional

presidents we've ever had. >> what's one of those lessons in your book? >> you've got to acknowledge facts even if they're inconvenient. you can't simply choose your investigation of reality based on what you believe. and so someone once said i wish i'd thought of it, it a great line, that they hoped hillary clinton watches fobs news because it the only place in america where she's president. if you have this view of reality that you take any new data and filter it through and change it to what you want it to be, you're going unamerican. because the american revolution was nothing if not an attempt to give reason a chance to stand in the arena against passion. that's what this country's been about. and we knew, the founders knew that it wasn't always going to work out. they knew we were going to have seasons of appetite and ambition and unrest. but ultimately what they wanted

to do was guarantee the fact that if we dealt with fair play, if we widened the definition of equality, if we widened the definition of who belongs here and we use our minds, we use our brains, that our brains will conquer what tends to be sometimes our gut and our gut isn't always right. our better angels tend to come from our mind and our heart and not our belly. >> it might be the theme of the day, rex rex tillerson saying if you're wobbly on truth, you're wobbly on america. >> just in to cnn, another step toward justice for the more than 300 women and girls who were abused by larry nassar, the doctor. hear what his former employer, michigan state university, has agreed to pay them. people would stare.

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dr. larry nassar's sexual abuse victims reaching an historic $500 million settlement with michigan state university. this settlement covers 332 young girls and women who brought lawsuits against the former michigan states sports doctor. it also covers perhaps future victims who come forward. nassar admitted to sexually abusing patient under the guise of medical treatment for about two decades and is now serving more than 100 years in prison. our jean casarez is with us now. tell us how this gets divvied up. it's interesting how its current survivors and people perhaps who come forward in the future. >> reporter: that's right. and they're all alumni of michigan state university or at least went to larry nassar as he was a doctor there in the

medical department. but $75 million will be set aside in a trust fund for victims who have not yet come forward but in the remaining two years could come forward. they have to be verified claimants. at the end of two years, any of the 75 million that has not been given to these new victims actually would be dispensed amongst the 332. so it will be a step-by-step process. i spoke with john manly, civil attorney, who really has led the way and i am sure is responsible for a large part of this. he said to me he's very happy they did finally reach the settlement because it just the beginning because msu needs to have them come back home. they didn't believe them. they believed larry nassar for so many years. i spoke to one of the victims today, she was the very first

msu student to file a title 9 complaint in 2014. they didn't believe her. she said to me a short time ago, quote, i think there was a lot of work to be done. this was never about money. it was always about shifting culture from enabling abuse to empowering survivors. this fight is far from over. it has only just begun." and brian breslin, chairman of the board of trustees spoke on behalf of the university and tells cnn, quote, we are truly sorry for all of the survivors and their families for what they have been through and we admire the courage it has taken to tell their stories. we recognize the need for change on our campus and in our community around sexual assault awareness and prevention." msu will pay the money out of pocket and are expected to sue

their insurance company to get it back. this does not include usa gym fa -- gymnastic, or the karolyis. >> next i'll speak live to a police chief who organized a heart warming moment for a 5-year-old boy to lost his dad in the line of duty. see how they helped him cope as he went back to school. lanning s are clear and straightforward so you can plan for retirement while saving for the things you want to do today. -whoo! you might or joints.hinghings for your heart... but do you take something for your brain. with an ingredient originally found in jellyfish, prevagen is the number one selling brain-health supplement in drug stores nationwide. prevagen. the name to remember.

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up to greet a 5-year-old indiana boy who was making his way back to school for the first day after losing his father. dakota pitt's dad rob was a police officer who was killed in the line of duty just two weeks ago. so the officers lined up to support him as he walked into school. he was wearing his dad's police badge and i'm joined now by john plassy, the chief of police for the police department. and this is a scene, chief, that has captured a lot of attention. it is such a moving tribute. tell us how this came together. >> well, the community is great once -- from when rob was lost. and there is a vigil in the county and one of the officers there asked if we could escort dakota back to school on his first day back and we said absolutely. so just word spread and as you saw, we had a great turnout from officers around the region,

deputies and troopers and officers and just to show dakota he's not alone even though he lost his father, i can't imagine what was going through his mind and we had to show him he wasn't alone and we're there with him. >> and watching him walk down the sidewalk and walking without the officers there to support him, it is heartbreaking and so heart warming to see them. tell us about his dad. tell us about officer pitts. >> rob was a great guy. he was -- if you didn't know him, i'm sory, because you're missing out. he would do anything for anyone and i don't know that rob had an enemy. everybody likes rob and it is just devastating he's not here for us. and i can imagine for his family. >> and what did dakota say about having the officers there to help him go back to school? >> i doesn't like the attention and you could probably see that in him. but i think he just likes the support. he likes to know he's not alone and that he's -- he's lost a father but he's gained so many

brothers that are going to be there for him and watch out for him from now and years to come. >> chief, thank you so much for sharing this moment with us and we will certainly be thinking of the pitts family. we appreciate it. >> thank you. and we're back in a moment. and the wolf huffed and puffed... like you do sometimes, grandpa? well, when you have copd, it can be hard to breathe. so my doctor said... symbicort can help you breathe better. starting within 5 minutes.

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and now for a redemption story nearly 27 years in the making. john bun was 14 when he was wrongly convicted for the 1991 murder of an off duty corrections officer in brooklyn. he always maintained his innocence but served 17 years in prison before being paroled in 2009. lawyers worked with him for years to clear his name and yesterday their hard work paid off. in an emotional tear-filled hearing, the indictment against him was officially cleared. >> i was convicted and i still have somebody right now that killed someone that is loose and the family out there running free and i didn't deserve any of that stuff that you did to me.

i'm an innocent man. i'm an innocent man, your honor and i've always been an innocent man, your honor. >> he was behind bars and stopped the attempted rape of a prison counselor and since started a literacy program for inmates. thank you so much for joining me. "the lead" with jake tapper starts now. >> announcer: this is cnn breaking news. welcome to "the lead." i'm jake tapper. we'll begin with breaking news from "the new york times" about the russia investigation. and president trump and his team, a remarkable new look at how the fbi handled the earliest days of the investigation into the trump campaign ties to russia. this revealing report coming as we're getting new concrete details into another key part of that investigation. of course that is the trump tower meeting between donald trump jr., paul manafort, jared kushner and russians connected to putin and russian oli